Taxation

Taxation is a major management issue, for businesses as well as communities.

The groups of taxes with the highest impact are actually the taxes related to local taxation, as well as the VAT and its counterpart: Payroll Tax.

Constant legal changes, the reality regarding case law and successive reforms make it possible to obtain tax relief and to make use of favourable mechanisms on a regular basis.

VAT - PT

A complex subject

PHF (Public healthcare facilities), due to the nature of their business, are exonerated or not subject to the VAT. Nevertheless, certain laws and precedents make a part of their activities liable to the VAT. This tax, which is complex, constantly changing and has a wealth of special rules and legal exceptions, must therefore be understood exhaustively and with certainty.

An exhaustive approach

7Partners intervenes exhaustively by auditing the rates of VAT applied according to your activities and the special situations encountered; by studying the accumulated impacts of actions taken regarding collected and deductible VAT and the payroll tax; by analysing, quantifying and qualifying the risks related to the VAT.

Applying the right VAT rules and generating increases in liquid assets.

Local taxation

Local Taxation has become a significant expense item that warrants being verified and controlled, especially since it is the subject of extensive reforms.

Errors in calculation, assessment and even law interpretation are frequent and result in very significant financial impacts for our customers.

Questioning the constitutive elements of the tax base confronting industrial buildings and professional premises such as office buildings, commercial and activity premises, shops, stores, warehouses and workshops enables us to optimise the different local taxes such as Land Tax, the CET (Local Land and Value Added Taxes) – which replaced the Business Tax on 1st January 2010, the Tax on the removal of household refuse and the Tax on residence paid by some organisations.

It is therefore possible to obtain tax reductions by analysing the pertinence of the tax bases as well as the method used by the Land Registry.

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Energy Taxation

Energy taxes are an important part of the total invoice for gas or electricity consumption for an industrial site. Sometimes up to 30% according to the typology of the site, compared to an average of 6% 10 years ago.

Energy is therefore one of the most taxed products in France and represents the 4th revenue for the State after the VAT, income tax and corporation tax.

Among these taxes, the CSPE (Energy Contribution to Public Service) has been absorbed by the TICFE (Domestic Tax on the Final Consumption of Electricity) since 1st January 2016. It represents 7 Billion euros in collected taxes.

Controlled by the Community law, these taxes are revised every year during the adoption of the Finance Law. We act on behalf of our customers by analysing exemption arrangements, obtaining reduced rates in order to substantially optimise their final invoice.

In terms of electricity consumption, we obtain a reduction in the rate applied to the TICFE for certain activities for our customers.

In terms of gas consumption, we obtain exemption for the TICGN (Domestic Tax on the Consumption of Natural Gas) for certain industrial processes for our customers.

We also obtain optimisations applicable to the TICPE (Domestic Tax on the Consumption of Energy Commodities), an indirect tax to which petroleum products are subject (petrol, fuel oil, diesel oil, etc.) at the stage when it is released for use, for our customers.

Finally, we also intervene on other environmental taxes, such as the packaging tax, Éco-Folio or the TGAP (General Taxes on Polluting Activities).

Therefore, we verify the eligibility of our customers for the schemes in question and handle declarations with the energy provider, the customs office and in some cases the Tax Authorities

Other Taxes

The other taxes that can be optimised are the Tax on office premises, annual Tax on parking lots, installation Tax, TASCOM, TLPE and the Tax for the creation of offices.

The Tax on office premises is applicable in Ile-de-France and concerns office premises of more than 100 m², commercial spaces of more than 2,500 m², storage rooms of more than 5,000 m², and parking lots of more than 500 m².

It is often noted that the surface area reported is excessive and claims result in reimbursements.

The annual Tax on parking lots is applicable to parking areas that are subject to the Tax on office premises. It was established in 2015 and in fact, is a tax surcharge.

The installation Tax succeeds the local equipment Tax and replaces about ten former taxes and contributions. It is settled when a building permit application or a preliminary declaration of work is submitted.

A tax appeal to the administration is fully indicated because mistakes often generate excessive tax.

The TASCOM (Tax on Commercial Spaces) is applicable to businesses with sales areas of more than 400 m². Operators of large supermarkets can therefore seize the opportunity to economise because this tax, which is currently very poorly controlled by communities, is often the subject of tax reductions.

The TLPE (Local Tax on External Advertisement) is an optional tax applicable to advertising media visible from the thoroughfare. Opportunities for optimisation are regularly identified following the recalculation of measurements of the surface areas of signs.

The Tax for the creation of offices or shops in Ile-de-France is to be paid when there is construction, reconstruction, renovation, transformation or extension work.